On September 8, 2025, as the U.S. labor market showed fresh signs of strain, Representative Ayanna Pressley of Massachusetts issued a pointed public letter to Jerome Powell, Chair of the Federal Reserve. Her demand? Swift answers and decisive action to confront a surge in unemployment among Black women—the most educated demographic in America, yet now facing jobless rates far above the national average. The timing could not have been more urgent: just days before, new data revealed that the overall U.S. unemployment rate stood at 4.3% in August, but for Black women, it had spiked to 7.5%—the highest since October 2021, according to the U.S. Bureau of Labor Statistics and reporting from Axios.
Pressley’s letter, made public and addressed directly to Powell, left little room for ambiguity. "The U.S. Federal Reserve has a statutory mandate to promote maximum employment and that must be true for all people, regardless of race and gender," she wrote, underscoring the gravity of the moment. She called for detailed data on the economic impact of Black women’s job losses and a comprehensive plan from the Fed to address the widening racial and gender disparities in American employment. Pressley’s deadline for a response is September 30, 2025.
This call to action comes against the backdrop of a cooling job market. As reported by The Wall Street Journal and other outlets, the U.S. economy added just 22,000 jobs in August—well below expectations and a marked slowdown from July’s revised gain of 106,000. Private payrolls increased by only 54,000, missing economists’ forecasts and signaling a broader stall in hiring. The sluggish pace leaves recent graduates out of work and, most worryingly, has pushed Black unemployment to levels not seen since the pandemic’s height.
For many economists, the rise in Black unemployment serves as an early warning sign. "The most vulnerable people tend to get laid off first, and unfortunately, that tends to be Black Americans, and that’s something that is very disturbing in and of itself," Diane Swonk, chief economist at KPMG US, told Black Enterprise. Nela Richardson, chief economist at ADP, pointed to a mix of factors—rising consumer worries, persistent labor shortages, and disruptions linked to artificial intelligence—as key drivers behind the slowdown. "The year started with strong job growth, but that momentum has been whipsawed by uncertainty," she said.
Black Americans comprise approximately 13% of the U.S. workforce, and their economic influence is substantial. Nielsen projects their collective buying power will reach $2 trillion by 2026, up from $1.7 trillion in 2024. When unemployment rises in Black communities, the effects ripple far beyond retail. "When unemployment rises in our communities, it has a rippling effect across entire industries. Not just retail. Housing, health care—the impacts are across the board," explained Joyaa Cole, founder of Joe and Monroe, a Black-owned business in Houston, in comments to Black Enterprise.
Congresswoman Pressley’s advocacy is not new, but the urgency has sharpened. In her letter, she described the 7.5% unemployment rate for Black women as "a glaring red flag" for the overall health of the U.S. job market. She did not mince words: "When the rest of the country gets a cold, Black folks get pneumonia," Pressley stated, capturing the disproportionate pain felt by Black communities during economic downturns.
Pressley’s letter also highlights a controversial policy backdrop. The first quarter of 2025 saw an unprecedented wave of layoffs, largely attributed to the Department of Government Efficiency’s (DOGE) aggressive campaign to reduce federal spending. DOGE’s approach, according to Pressley, relied heavily on workforce reductions, the elimination of diversity, equity, and inclusion (DEI) initiatives, and the dismantling of various social programs. The fallout, she argues, has hit Black women particularly hard—compounding long-standing inequities and threatening the gains made in workplace diversity and rights.
To address these disparities, Pressley has asked the Federal Reserve to provide not only data but also a "detailed plan" for tackling the high unemployment rate among Black women. She emphasized that a diverse labor market, inclusive of Black women, is not just a matter of fairness but of economic vitality. Citing research, she noted, "A diverse labor market, inclusive of Black women, contributes greatly to the economy and the workplace. One study of more than 300 public companies found that diverse teams were more productive and yielded higher earnings. Another study found that women were able to secure workplace benefits like paid family leave, leading to better workplace rights, productivity, and retention from employees who felt more respected and valued from new family-oriented workplace policies. It is undeniable that Black women contribute significantly to this nation and this nation’s economy."
Pressley’s request for action extends beyond economic data. She called on Powell to "support the independence of the Federal Reserve, including from unlawful firings like that of Governor Lisa Cook." Cook, notably the first Black woman to serve as a Federal Reserve governor, has recently faced efforts from the president to remove her—a move Pressley and others have described as unlawful. The episode has raised concerns about political interference at the central bank and the fragility of hard-won representation at the highest levels of economic policymaking.
The broader implications of rising Black unemployment are not lost on policymakers or business leaders. Economists often refer to increases in Black unemployment as a “canary in the coal mine,” warning that trouble in this demographic may foreshadow deeper problems in the labor market as a whole. The recent figures—7.5% for Black women, compared to 4.3% nationally—suggest that the economic recovery remains uneven, and that some of the most educated and experienced workers in the country are being left behind.
As the September 30 deadline approaches, all eyes are on the Federal Reserve. Will Powell and his colleagues deliver the transparency and action Pressley demands? The stakes are high—not only for Black women facing the brunt of job losses, but for the broader American economy that depends on their talent, leadership, and purchasing power. The coming weeks will reveal whether the nation’s central bank is prepared to confront these disparities head-on, or whether the warning signs will go unheeded.
For now, the message from Congresswoman Pressley and those she represents is clear: the health of the U.S. job market cannot be measured by averages alone, and the path to true economic recovery runs through the communities most at risk of being left behind.
